Increase in Daily Transport Allowance and Introduction of an Education Support Grant

On 24 January 2022, the government of Lebanon approved all 56 items on the 2021 draft budget law, including an introduction of an education support grant and an increase in the daily transport allowance for private and public sector employees.

The education support grant approved by the cabinet is 1,000,000 Lebanese Liras for students enrolled in public or tuition-free educational institutions and 2,000,000 Lebanese Liras for students enrolled in private educational institutions. The benefit is capped at three children or 4,000,000 Lebanese Liras. The child must have reached three years of age by the end of January and not yet have reached 25 years of age to qualify for the grant. Night schools do not qualify for the grant.

The decree further stipulates that female employees are not eligible to receive the grant unless the children are her responsibility and she receives a family allowance on their behalf, or she is married to an employee who is not eligible to receive the grant.

Employees must be employed for at least one year before they are eligible to receive the grant.

The daily transport allowance has been increased to 65,000 Lebanese Liras for private-sector employees and 64,000 Lebanese Liras for public sector employees for each day of actual attendance.

The above allowances are neither subject to tax, contributions to the National Social Security Fund nor are they included in the end-of-service compensation calculation.

Mercans’ Lebanon Payroll Outsourcing Solutions

While Mercans’ Lebanon Payroll Outsourcing alerts will allow you to stay on top the latest development in Lebanon’s payroll regulations, you should still get in touch with Mercans’ Lebanon payroll outsourcing, compliance, PEO/GEO and BPO specialists for a free consultation on setting up fully compliant payroll and HR functions. Better yet, outsource your payroll and HR activities in Lebanon to Mercans and our Lebanon payroll outsourcing experts will ensure that your employees will always be paid on time and in accordance with the Lebanon regulations.

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Lebanon Statutory Alert Trasportation and Eduction Allowance Changes
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